The aim of this paper is to enhance our understanding of evolution of the concept of competitiveness: how it developed and changed over time. The intention is to review three theoretical and practical reasons that explains why it remains such an important and elusive concept in the same time. First, competitive advantage in particular area or activity will always coexist with relative competitive disadvantage of an organization. Second, organizations can attain competitive advantage in many different ways, also by luck, and it is very difficult empirically to differentiate one from another. Third, many of the complications in studies of organizational competitiveness are results of growing multidimensionality, complexity and fuzziness of organization-environment relationships.
In this paper the configuration of the value chains in the automobile and the textile industries building on a theoretical review of the value chain concept, its different typologies and governance models are analised. At the empirical level these chains are classified according to the most relevant participating actors, their interrelations and their methods of upgrading their competitiveness. In both chains a firm-level analysis of their quantitative indicators for competitiveness was carried out.
Regarding the automobile industry assemblers generate significant agglomeration economies by attracting international suppliers. The modular production system of the sector generates great flexibility for the manufacturer but it also represents important opportunities for supplier companies aiming to improve their competitive position in these chains. As for the textile industry, our paper shows the clear leadership of the large distribution chains which have radically changed the sector transforming it into an industry driven by the buyers or distributors. Results indicate that the distribution companies are those that have the potential to generate greater added value when these companies have created integrated structures at the end of the chain.
The aim of this paper is to investigate the implications of the fourth industrial revolution for technological competitiveness, its definition and measurement methods. An empirical part is aimed at identifying comparative advantages of the European Union in digital technologies. Recently new approaches have appeared to measure digital competitiveness, however they use a broad definition of competitiveness that encompasses not only technological factors but also the macroeconomic and institutional environment (IMD, 2017; WEF, 2018). There is still a limited number of studies focused on the technological dimension of competitiveness in digital technologies. This paper fills the gap by developing a conceptual framework based on patent indicators, i.e. Patent Share and Revealed Technological Advantage indices. It allows a consistent analysis of the comparative advantages of the EU member states in digital technologies to be conducted. The results confirm a huge diversity within the EU in terms of digital technologies, their global impact and comparative advantages.
The aim of this paper is to offer an empirical insight into the spatial effects of growth of regional income and disparities across EU regions (NUTS 2). Since regions are spatial units and there are interrelated standard linear regression is not sufficient to evidence the convergence process. Two models (Spatial Lag Model – SLM and Spatial Error model – SEM), derived from spatial econometrics, have been used to identify and explain spatial effects in convergence clubs—all EU countries (EU-28), countries that entered the EU in 2004 (EU-13) and countries that were in EU prior to 2004 (EU-15). Unconditional and conditional β-convergence has been examined in the period 2000-2015 thus covering two financial perspectives (including n + 2 rule3). Dummy variables have been also applied to catch the country-specific effects, such as national policies, legislation, technology progress, etc.
The aim of this article is to analyze the economic aspects of cybersecurity of critical infrastructure defined as physical or virtual systems and assets that are vital to a country’s functioning and whose incapacitation or destruction would have a debilitating impact on national, economic, military and public security. The functioning of modern states, firms and individuals increasingly relies on digital or cyber technologies and this trend has also materialized in various facets of critical infrastructure. Critical infrastructure presents a new cybersecurity area of attacks and threats that requires the attention of regulators and service providers. Deploying critical infrastructure systems without suitable cybersecurity might make them vulnerable to intrinsic failures or malicious attacks and result in serious negative consequences. In this article a fuller view of costs and losses associated with cyberattacks that includes both private and external (social) costs is proposed. An application of the cost-benefit analysis or the Return on Security Investment (ROSI) indicator is presented to evaluate the worthiness of cybersecurity efforts and analyze the costs associated with some major cyberattacks in recent years. The “Identify, Protect, Detect, Respond and Recover” (IPDRR) framework of organizing cybersecurity efforts is also proposed as well as an illustration as to how the blockchain technology could be utilized to improve security and efficiency within a critical infrastructure.
The aim of this paper is to examine the ‘dark matter’ assets in the external sector of the United States in the period 1999:Q1-2018:Q3. The paper investigates data on the balance of payments and international investment position for the US and a group of 18 economies. The research reveals that the US is a privileged economy with respect to foreign income on international investments. The rates of return on its foreign assets are relatively higher, and the costs incurred on its foreign liabilities relatively lower, as compared with the benchmark group. This special privilege of the US relates to equity investments, especially foreign direct investments. Based on prevailing income differentials substantial ‘dark matter’ assets of the US are estimated. Recognising such ‘dark matter’ leads to the conclusion that the US is a foreign creditor, not debtor. The findings shed light on the puzzle as to why the US has a continuing ability to sustain its external position despite mounting foreign liabilities.
This study aims to evaluate service quality performance of major LCCs (Low Cost Carriers) in Europe by the MCDM (Multi-Criteria Decision Making) methodology. In addition it focuses on managerial business models and includes the international airline service providers that have applied the cost leadership strategy. In the study passenger reviews based on customer-rating systems are adopted as an alternative data source. For this purpose 24,971 passenger reviews, including 7 evaluation criteria, are analyzed. In this integrated methodology the Entropy method is used to weight the service quality criteria and the WASPAS method is used to rank the airlines. A sensitivity analysis is also applied and the robustness and stability of the application are confirmed. Consequently Jet2.com demonstrates the best service performance overall and legroom is the most important evaluation criterion.
During the global banking crisis of 2007-2009 and the Eurozone sovereign debt crisis of 2010-2012 the so called ‘TARGET2 imbalances’ attracted considerable attention. Some economists interpreted them as a symptom of the ECB’s ‘stealth bail-out’. The aim of the paper is to highlight that contrary to such claim, the emergence of TARGET2 imbalances reflected the benefits of having a mutual central bank within a monetary union which facilitated cross-border funding in spite of the global financial turbulence. The ECB’s liquidity loans to commercial banks in the Eurozone debtor countries shielded the Eurozone from a much deeper financial crisis than it actually occurred. The emergence of the TARGET 2 imbalances was actually only an accounting phenomenon resulting from the fact that these liquidity loans were technically extended by the debtor countries’ national central banks which are de facto (from the monetary policy perspective) ECB’s regional branches.
The topic of the paper is relevant in the field of optimal growth theory and therefore might be seen as an intellectual underpinning for research and practice in the field of transition economies and sustainable long-time development as well. It refers to the papers Panek (2015a, 2018) devoted to asymptotic properties of optimal growth properties in the non-stationary Gale type economy with single and multi-lane turn-pikes in which it was assumed that changing production technology converges in time with certain limits of technology. As far as the postulate of a non-stationary economy (here: technology change) is consistent with real processes, the hypothesis of the existence of some limiting technology may raise controversies and be difficult to verify.
In the paper, referring to the above mentioned publications and Panek (2014), a Gale-type economy with changing technology, multi-lane turnpike and time-increasing production efficiency, with no assumption concerning the existence of a limit technology will be examined.